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ANSWER THIS QUESTION PLZZZZ

Forums › ACCA Forums › ACCA FA Financial Accounting Forums › ANSWER THIS QUESTION PLZZZZ

  • This topic has 1 reply, 2 voices, and was last updated 13 years ago by Avatarpannanikt.
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  • June 14, 2012 at 6:05 am #53461
    Avatararvind0708
    Member
    • Topics: 39
    • Replies: 5
    • ☆

    QUESTION 22
    Habib, a limited liability company, has the following building in its financial statements as at
    31 December 2007:
    Cost $4,500,000
    Accumulated depreciation $(720,000)
    –––––––––
    Net book value $3,780,000
    –––––––––
    The building has been depreciated at 2% per annum. On the 1 January 2008 the building
    was re-valued to $6,300,000.
    What would be the charge for depreciation on the building that would appear in the income
    statement for the year ended 31 December 2008?

    June 15, 2012 at 8:46 pm #100862
    Avatarpannanikt
    Member
    • Topics: 8
    • Replies: 80
    • ☆☆

    6300 000 x 2% = 126 000

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